Federal Stafford student loans

Federal Stafford loan is one of the State loans for undergraduate students, graduate and professional students in the United States. This falls within the competence of the Ministry of education of the United States and belongs to the category education loans. This loan helps students to cover the costs of post-secondary education obtained from a recognized University, community college or technical school for four years.

The Stafford Loan is one of the State loans and have two types of federal family education loan program, provided by private lenders with Federal direct loan program, which offers Federal Ministry of education. It may also be subsidized and Unsubsidized loans. When a student Loan is subsidized, demonstrates the need for credit. In such a case, the Government pays the interest while the student is in school and principle amount on hold. Unsubsidized Loan is when a student does not express the financial need of the loan. In this case, although the principle amount is deferred, the student should cover the amount of interest.

Education credits category selection criteria, the student must be enrolled at least part-time and must demonstrate satisfactory academic progress. The Stafford loan, the student must fill out the free application for federal student aid. Annual amount authorized depends on various criteria, such as a year in school, the student is a dependent or independent and whether it is in the program of undergraduate, graduate or professional. Money is in two annual editions through agency that uses it to pay taxes, etc.

Only remaining Fund comes into the hands of a student. Repayment of the loan can be done more than 25 years, but must be commenced within six months after graduation. The current range of interest rates from 4.5 6.8% depending on whether it Government loans subsidized or not. It must be repaid small loan fee of 1% of each payment. Postponement of loan is possible in special circumstances.

For more information on visiting the Federal Stafford loan http://www.federalstudentaid.ed.gov/aidinfo in and apply for the same http://www.fafsa.gov/ visit

Thus, in accordance with the name of the credit and loan category, the Federal Stafford loan is a great help for students, enabling them to pursue their dreams of higher education.